BIS: Basel Committee Publishes Analytical Reports On Climate-Related Financial Risks Date
14/04/2021
The two reports discuss transmission channels of climate-related risks to the banking system, and the measurement methodologies of climate-related financial risks.
Climate risk drivers can be captured in traditional financial risk categories, but additional progress is needed to better estimate these risks.
The reports provide a conceptual foundation for the Basel Committee s next phase of work to identify potential gaps in the Basel Framework and consider measures to address them.
The Basel Committee on Banking Supervision today publishes two analytical reports:
These reports contribute to the Committee s sequential approach to working on climate-related financial risks and follow the Committee s 2020 stocktake on members existing initiatives. Both reports leverage extensive reviews of existing literature, including publications by scientists, academics, central banks
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